Market Failures
The point at where consumer surplus and producer surplus meet is called what?
Equilibrium
What type of goods are provided by firms/industries?
Private Goods
A government official's abuse of trusted powers for personal gain is known as what?
(Political) Corruption
What are two ways a market can fail?
Supply-Side, Demand-Side
What goods are described as nonrivalry, nonexcludable, and have a free-rider problem?
Public Goods
Medicare is an example of a government unfunded liability, name one more example.
Social Security or Pensions
What is the difference between the actual price a producer receives and the minimum price they would accept?
Producer Surplus
Name two types of consumer goods and state which one lasts longer.
Durable Goods and Non-Durable Goods; Durable Goods Last Longer
Budget deficit occurs when?
Whenever its tax revenues are less than its spending during the year.
What type of failure occurs when it is not possible to charge consumers enough for the product?
Demand-Side Failure
Finish the phrase dealing with consumption; "Consumer goods are ________, and capital goods are ________."
a.) Intermediate; Final
b.) Final; Intermediate
c.) Final; Temporary
d.) Temporary; Intermediate
b.) Final; Intermediate
A failure that occurs when firm does not pay the full cost of producing its output.
Supply-Side Failure
What type of good can be provided though the market system and is provided by the government because of its positive externalities?
a.) Private Goods
b.) Public Goods
c.) Quasi-Public Goods
d.) Durable Goods
c.) Quasi-Public Goods